1965-2015, a look back at our history. years thinking differently Index Introduction 4 What has happened between 1965 to 2015 6 Birth of the bank 14 The great leap forwards 20 A different way of banking 24 The digital age 30 Responsible banking 36 Recognition 40 4 “We do not aspire to be the biggest, but we do aspire to be the best.” Pedro Guerrero, Chairman of Bankinter edro Guerrero, Chairman of Bankinter, takes stock How do you imagine the bank's next fifty years? of the bank's history and points out the challenges ahead. “We do not aspire to be the biggest", he It is not easy to make predictions, but some things are says, "But the best, yes.” evident. One of them, undoubtedly the most significant one, P is that we must continue working to remain worthy of our What stands out from Bankinter's first half century? customer's trust. Trust is a key aspect in this business and retaining it is subject to behaving rigorously, ethically and The first thing is that it has been able to survive and professionally at all times. After all, we are merely managing consolidate alone, without being merged, taken over, or the resources that our customers and shareholders entrust acquired. When Bankinter was first launched, many other us, and we must do so with this in mind. companies also appeared, under the protection of the 1962 Banking Act, which opened up the system. Well, the only By all means, we must continue down the path of innovation, one still in existence today is ours. The others have either which I am convinced will continue to bring us great joy. disappeared or been incorporated into large groups, some In addition, we have to intensify our commitment towards which have disappeared themselves. sustainability and corporate responsibility. Bankinter has been working along these lines for years, aware of the fact Furthermore, Bankinter has always proven an enormous that it is an unavoidable requirement while at the same time capacity to adapt to the changing circumstances under doing it under its own free will. The Sustainability Plan, which it performs its activity. Particularly, it has known how which maximises our positive and minimises our negative to adapt to the technological changes, of which it has made impact on the environment, and the activity carried out good use to provide a new, more modern and personal type by the Bankinter Foundation, which increasingly supports of banking that values its customers. Telephone Banking, entrepreneurship, are proof of this. Internet Banking and Mobile Banking are tools that we pioneered and are currently well-established tools that What does the slogan Thinking different mean to you? enable us to provide a top quality service. Thinking different is the capacity to reinvent oneself every I must also highlight the innovative nature of Bankinter, day, to innovate and to anticipate the future. That is, exactly not only in terms of technology, but also in business what we have been doing since Bankinter was established organisation. This has enabled us to conceive and fifty years ago. And, this necessarily requires taking care of, implement formulas such as the Agents Network or Partnet among other things, our talent. We have a splendid team Banking, which are unmatched in the sector and have of people that have been trained by experts, are eager to contributed to our organic growth throughout these past provide an outstanding service and are highly sensitive to years. Innovation permeates all areas of Bankinter; it is an everything that implies innovation. It is essential for the essential part of our DNA, up to the point that if it were not bank that they always be motivated and that they can for this innovation, we would not be where we are now. channel their creativity. We do not aspire to be the biggest, but we do aspire to be the best. 5 “It is possible to achieve almost any goal we set ourselves” Maria Dolores Dancausa, CEO of Bankinter ankinter's CEO, María Dolores Dancausa, explains no company can move forward, and far less so a credit the reasons for the bank's success and points institution. Especially faced with such a fickle future as out what the future may hold. She has a firm that, which in many other aspects, lies ahead of us. conviction: “It is possible to achieve almost any Bgoal we set ourselves.” The means through which banking does its business have varied substantially in recent times due to advances How would you summarise Bankinter's first half century? in technology that still push change at an ever more accelerated rhythm. For this reason we must continue to Arriving at this point fully autonomous and independent have, as we have up to now, open and forward-looking is absolutely exceptional. So is the fact of having grown minds, as well as the skills to adjust that have, in the past, organically, customer by customer, doing things a little been one of the secrets of our success. New technologies are differently to everyone else. That is why, when you think of also going to oblige us, are already obliging us, to compete an innovative financial institution, Bankinter always comes with another series of players, not necessarily financial, to mind. We have pioneered new ways of communicating who are global and have exceptional analytical abilities, and with customers, opening up pathways not previously trod. which, logically, are fighting to attract the same clients that interest us. Faced with this, Bankinter should stand firm This has only been possible because of the work and the in its conviction to be the most efficient bank, crucial for commitment of our group of employees, collaborators, surviving in a world doomed to live within narrow margins. members and agents. Thanks to their initiatives and hard graft, Bankinter has grown, achieved unusual levels What does the slogan "Thinking differently" suggest to of profitability and efficiency, and become a model for you? the Spanish financial and business world. With all that accumulated talent put at the service of the company, it is It suggests exactly that which, for the members of the possible to achieve almost any goal we set ourselves. Bankinter family, has become our watchword. Something that can be seen in this company's workforce. As I have What are they keys for the next fifty years? already underlined, we have never done banking the traditional way and, if we had tried it, I very much doubt I usually say, because there is evidence to confirm it, that we would be where we are today. We work with the same organisations which make it to the half century mark, raw material as our competitors, but we know how to give continuously and independently, have a good chance of it a different touch, this enormous contribution made by reaching a hundred. And I do not doubt that Bankinter will innovation, the rigour applied to what we do and to how we make it to that ripe old age, too, because it is capable of do it. For this reason, our initiatives, our ideas, the tasks we remaining true to the principles of righteousness, integrity, undertake… are all done "thinking differently." and honesty that have characterised its first fifty years. Ethical principles are essential for gaining and maintaining the trust of customers, something that without which 6 Events between 1965 and 2015. The world has experienced extraordinary changes in the past half century. From a geopolitical point of view, we have evolved from a world of two confronted blocks to a geopolitical multipolar reality. Spain has gone from being a country with traits of an emerging economy to a state aligned with the rest of developed societies. During that period, the Spanish banking system experienced an extraordinary growth. The current volume of bank assets is 370 times the volume that it was 50 years ago. 7 The triumph of internationalisation he half century elapsed between 1965 and From a political point of view, in 1965 the world was 2015 has been marked by an intense process polarised between Western capitalism and the communist of internationalisation of the economy, as can countries, although cracks started to appear in both blocks. be inferred from the statistics for trade and The Vietnam War, which broke out in 1965, caused a strong Tinvestment flow. Two aspects drove this process: protest from the USA. Simultaneously, cultural and popular protest movements started to emerge in the Western world • The expansion of major multinational companies (first (the hippy movement, the May 1968 events in France from the USA, then from Europe and Japan and now from and rock and roll). Meanwhile, strong political dissidence emerging countries). appeared in the Eastern European countries that would culminate in the repression of The Prague Spring. • The creation of major supranational trade areas, such as the European Union, that favour the free trade of goods In 2015, the geopolitical reality is much more fragmented. and services. The fall of the Berlin Wall in 1989, the growing economic and political influence of the developing countries (especially, Events between This liberalisation involved further economic growth and, China) and the instability in the Middle East have created in combination with other factors, such as the technological a multipolar scenario that is difficult to decipher and that revolution, the establishment of institutions and the involves very complex conflicting interests. progress of democratic systems around the world, it has provided a significant improvement of the indicators of social welfare. A clearest example of this progress is the considerable rise in life expectancy, which increased from 1965 and 2015.